steve Jobs And Modern leadership

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Change and Leadership
steve Jobs And Modern leadership
~ Ph. D. sorin-george toma (Faculty of Administration and Business, University
of Bucharest, Romania)
E-mail: [email protected]
~ Ph. D. Paul Marinescu (Faculty of Administration and Business, University of
Bucharest, Romania)
E-mail: [email protected]
Abstract: During the time, especially in the last fifty years, leadership has increasingly become a
major subject in the management literature, a subject of much thought, writing and teaching. While the
importance of leadership is generally accepted all over the world, there are as many definitions of it as there
are organizations. In spite of the fact that the business literature on leadership is so voluminous, there is
not an agreed-upon definition of the concept of leadership. Leadership is not only intensely studied, but
also practiced in different organizations. How to lead effectively an organization depends on many factors
such as the organizational culture, the behavior of the followers, and the personal traits of the leader. The
vast majority of successful leaders are multi-dimensional individuals. The aims of our paper are to present a short biography of Steve Jobs and to highlight his contribution to modern leadership. Our research is
based on a literature review. The S. Jobs example illustrates how a transformational leader as him can be a
key factor in successfully turning round the fortunes of a company as Apple. The paper facilitates a better
understanding of modern leadership, emphasizing the case of S. Jobs, and provides a platform on which to
build further studies on the same subject.
Key words: leadership, Steve Jobs, leader, Apple
Jel Classification: M1, M19
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introduction
As leadership constitutes a universal
phenomenon, it is often discussed and analysed in various environments (e.g., business,
academic). Leadership is not only intensely
studied, but also practiced in different organizations. Formal organizations embodies
“at least two distinctive, yet complementary
aspects of the phenomenon of leadership:
(1) the structure of organization institutionalizes the leadership process into a network
of roles, often in an overconcretized and dehumanizing form; (2) mediating or interpersonal leadership- what is most evident as
leadership in action, operationalizes the principles of leadership as an emergent process
within the context of the former” (Smircich
and Morgan, 1982, p. 260). Also, leadership in
organizations involves three different levels:
team, operational and strategic (Adair, 2002).
During the time, especially in the last fifty years, leadership has increasingly become
a major subject in the management literature,
a subject of much thought, writing and teaching. In the beginning, the study of leadership
was anchored in a single disciplinary view
for most for the last century. Since the development of big business organizations such as
the multinational and transnational corporations, leadership has been described through
multi-faceted approaches. In today’s continuously changing environment, “leadership
can and does make a meaningful difference
in every aspect of organizations” (Hickman,
1998, p. xiii).
The aims of our paper are to present a
short biography of Steve Jobs and to highlight his contribution to modern leadership.
Our research is based on a literature review.
The paper is structured as follows. In
section one, we present some definitions and
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features of leadership. The second part of the
paper renders in brief the biography of S.
Jobs. The third part deals with the connection
between Jobs and modern leadership. This is
followed by conclusions.
1. what is leadership ?
The concept of leadership is not an easy
subject to define and explain. Leadership
scholars have studied leadership in one or
several academic fields such as social psychology, anthropology, human resources, sociology, political science, education, theology
and business. Most of these scholars belong
to business schools.
Many studies were devoted to the difference between management and leadership. In this respect, “if one wishes to
distinguish leadership from management
or administration, one can argue that leadership creates and changes cultures, while
management and administration act within
a culture” (Schein, 2004, p. 11). That is why
there are differences between the actions and
behaviours of leaders and managers (Table
1). Also, a clear distinction has been made in
the management literature between the two
leadership models within the capitalist economic system (Table 2). On the one hand,
there is the Anglo/US model and, on the other hand, there is the Rhineland model (Avery,
2005). The two forms of capitalism influence
in a high degree the way organizations are
led.
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Table 1. The Manager and the Leader: a comparison
The Manager
The Leader
Administers
Innovates
Is a copy
Is an original
Maintains existing patterns
Explores new territory
Maintains
Develops
Avoids risks
Takes risks
Focuses on systems
Focuses on people
Relies on control
Inspires trust
Short-range view
Long-range view
Makes plans and budgets
Formulates vision
Asks how and when
Asks what and why
Eye on the bottom line
Eye on the horizon
Imitates
Originates
Accepts the status quo
Challenges the status quo
Stabilizes
Initiates change
Transacts
Transforms
Invokes rationality
Invokes passion
Obeys orders without question
Obeys when appropriate but thinks
Does things right
Does the right things
Is trained
Learns
Controls
Empowers
Enforces uniformity
Encourages diversity
Acts amorally
Acts morally
Operates within the culture
Creates the culture
Source: Allio, 2009, p. 6; Hopper and Potter, 2000, p. 61
Leadership has a full range of definitions. During the time, the definitions of leadership have shown a progression of thought
related to this topic. In the beginning, the
definitions identified leadership as “a focus
of group process and movement- personality in action. The next definitions considered
it the art of inducing compliance” and “the
more recent definitions conceive of leadership in terms of influence relationships, power differentials, persuasion, influence on goal
achievement, role differentiation, reinforcement, initiation of structure, and perceived
attributions of behavior that are consistent
with what the perceivers believe leadership
to be” (Bass and Bass, 2008, p. 24).
While the importance of leadership is
generally accepted all over the world, there
are as many definitions of it as there are organizations. In spite of the fact that the business
literature on leadership is so voluminous,
there is not an agreed-upon definition of the
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concept of leadership. Since the 1990s it has
been said that a major problem with both
leadership studies and with the people who
practice leadership is that “neither the scholars nor the practitioners have been able to
define leadership with precision, accuracy,
and conciseness so that people are able to label it correctly when they see it happening
or when they engage in it” (Rost, 1993, p. 6).
However, most of the definitions were provided by American and British researchers
and authors as follows:
• Leadership represents “the activity of
influencing people to pursue a certain course
“ (Adair, 2002, p. 61).
• Leadership means “authority, control, direction, guidance, initiative, influence” (Lindberg, 2002, p. 424).
• “Some of the many definitions include: to guide, to direct, to begin, to be chief,
to influence, to command, to be the first, to go
ahead of, to create a path, to show the way, to
control actions, to cause progress” (Cox and
263
Hoover, 2002, p. 5).
• Leadership involves initiating, and
represents both a highly creative and an intrinsically interpersonal activity (Landsberg,
2000).
• Leadership is “the ability to lead”
(Davidson, Seaton and Simpson, 1998, p.
548).
In essence, the working definitions of
leadership belong to one of the following
groups:
• “The early simplistic paradigm (leadership is good management).
• The semantic description (leadership
is the process of leading).
• The transactional definition (leadership is a social exchange between leaders and
followers).
• The situational notion (leadership is
a phenomenon that precedes and facilitates
decisions and actions).
• The esthetic concept (leadership is an
art or a craft).” (Allio, 2013, p. 4)
Table 2. A comparison between the Anglo/US and Rhineland leadership models
No.
Element
Anglo/US model
Rhineland model
1.
Chief Executive Officer (CEO) concept
Decision maker, hero
Top team speaker
2.
Decision making
Manager-centered
Consensual
3.
Ethical behavior
Ambivalent
An explicit value
4.
Financial markets
Follow them
Challenge team
5.
Innovation
A challenge
Strong
6.
Knowledge management
A challenge
Shared
7.
Long-term perspective
No
Yes
8.
Management development
Import managers
Grow their own
9.
Organizational culture
A challenge
Strong
10.
People priority
Lip-service
Strong
11.
Quality
Difficult to deliver
High is a given
12.
Retaining staff
Weak
Strong
13.
Skilled workforce
Challenged
Strong
14.
Social responsibility
Underdeveloped
Strong
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15.
Environmental responsibility
Underdeveloped
Strong
16.
Stakeholders
Shareholders
Broad focus
17.
Teams
Manager-centered
Self-governing
18.
Uncertainty and change
Fast adjustment
Considered process
19.
Union-management relations
Conflict
Cooperation
Source: Avery, 2005, p. 30
The above mentioned definitions show
that the concept of leadership means different things to different people. However,
these definitions lead to the following features of the concept:
• Leadership is a multidimensional concept which has many facets and
dimensions.
• Leadership is universal.
• Leadership is close to management,
but not identical.
• Leadership implies various interpersonal activities such as influencing people or
guiding them.
• The concepts of leadership and leader are strongly interconnected.
How to lead effectively an organization
depends on many factors such as the organizational culture, the behavior of the followers, and the personal traits of the leader
(Simmons and Sower, 2012; Allio, 2009). The
vast majority of successful leaders are multidimensional individuals. They excel in many
dimensions of leadership, being flexible, sensitive, directive, empathetic, charismatic, motivators, persuasive or self-confident. In this
respect, a valuable example is S. Jobs, the
founder of Apple.
2. steve Jobs: a short biography
Steven Paul Jobs (Steve Jobs) was born on
24 February 1955 in San Francisco, California.
His parents were Abdul Fattah Jandali, a
young Syrian muslim immigrant, and Joanne
Carole Schieble, a German-American. As
Schieble’s conservative Christian family
did not accept her marrying Jandali, Joanne
Carole took the decision to move from
Wisconsin to the more liberal San Francisco
in order to have her child. Steve Jobs was adopted by Clara and Paul Jobs, a middle-class
San Francisco couple, who later moved to the
suburban city of Mountain View.
In the early 1950s, the Santa Clara county became known as Silicon Valley after the
sprouting of a myriad of semi-conductor
companies. So, Steve lived in his childhood
in the neighborhood of electronic industry.
This hi-tech environment shaped his interest in the field as he grew up. At age 13, Jobs
met one of the most important persons in his
life: Stephen Wozniak, older than him with 5
years. An electronics wiz kid, Wozniak spent
many hours building various electronics projects. He also was regularly attending meetings of a group of early computer hobbyists
called the Homebrew Computer Club, a forerunner of personal computing. In the same
year, Jobs called up Bill Hewlett and got a
summer job at the Hewlett-Packard (HP) factory. Later, Wozniak himself started working
for HP, designing calculator circuits.
Jobs and Wozniak had two main
things in common: electronics and pranks.
Jobs grew up listening to the Beatles, but
Wozniak turned him into Bob Dylan whose
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music carried greater resonance for them.
Jobs highly appreciated Dylan because he
composed songs based on what the musician
saw and thought. Living in a California open
to so many possibilities, Steve embraced the
hippie culture. He ate seeds, took LSD, wore
long hair and became interested in Indian
spiritualism.
When he was 18, Jobs reached college
age and enrolled in Reed College, an expensive private liberal-arts college in Portland.
Jobs saw the college as “a chance to reinvent
himself far away from home” (Dormehl,
2012, p. 51). He met Dan Kottke there. They
both enjoyed reading books, being attracted
by the psychedelic experience. They often
discussed about yoga, meditation and Zen,
subjects treated especially in spiritual books
such as ‘Be Here Now’ by Baba Ram Dass,
‘Zen Mind, Beginner’s Mind’ by Shunryu
Suzuki or ‘Autobiography of a Yogi’ by
Paramahansa Yogananda. Moreover, Jobs
and Kottke worked as volunteers at a 220-cre
apple farm, located forty miles away from
Portland. Influenced by the book ‘Diet for a
Small Planet’ by Frances Moore Lappe, they
made the decision to become vegetarians.
Throughout the rest of his life, Jobs embraced
the diets based on fresh fruits.
Jobs spent only one semester at Reed,
then dropped out, and returned home where
he looked for work. In the San Jose Mercury
newspaper he found an advertisement of the
video-game manufacturer Atari: “Have fun,
make money”, which sounded promising to
him. In a short period of time, he was hired
at the Atari and used his wages to make a trip
to India in 1974, in order to ‘seek enlightenment’. Jobs returned home came back a little
disillusioned, but he wore traditional Indian
clothing and remained a serious practitioner
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of Zen Buddhism. At that time, Wozniak succeeded in building his own computer board
and Jobs quickly understood that his friend’s
invention could be a gold mine.
On April 1, 1976, Steve Jobs, Stephen
Wozniak and Ronald G. Wayne founded a
company called Apple Computer. In the following months they assembled boards of
Apple I computers in the Jobses’ garage, and
sold them to independent computer dealers
in the area. Wozniak was a genius in computers, but he could not market their product,
raise money, or operate a business the way
Jobs could. It was a perfect combination of
skills of the two Steves.
As Wozniak had started work on a much
better computer, the Apple II, that supported color graphics, Jobs sought venture capital. He convinced Mike Markkula, a former
Intel executive, to invest $92,000 in Apple. In
January 1977, Jobs and Markkula hired Mike
Scott as CEO, bringing professional management from Intel. Step by step, Apple became
a symbol of the PC revolution, a company
that challenged the so-called “possibilities”
of a young American computer industry.
By constantly redefining the standards
for its products, the company made Apple II
into the first mass-market PC with impressive sales around the USA. The company’s
sales had surged from $2.7 million in 1977 to
$200 million in 1980, with an expected $600
million by the end of 1982. Starting with
1981, Jobs appeared on the cover of many
well-known publications (e.g., Time, Inc.).
In the early 1983, John Sculley, a former
PepsiCo CEO, became Apple’s CEO after having been wooed by Jobs for several months.
Two years later, Apple’s board strips Jobs off
all executive duties. He resigned from Apple
and launched a new company called NeXT
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with five other refugees from Apple. In 1986
he decided to buy the computer division of
George Lucas’ ILM for $10 million and incorporated it as Pixar. Pixar widely benefited from the Disney marketing machine and
made a hit with Toy Story. In the late 1980s,
Jobs was named ‘Entrepreneur of the decade‘
by Inc. magazine.
In December 1996, Jobs was back at the
company he founded after Apple bought
NeXT for $400 million. In less than one year,
he accepted to become Apple’s interim CEO.
In 2011, Jobs designed and developed Apple’s
Digital Hub Strategy at Macworld: the Mac is
to become the center of consumers’ emerging
digital lifestyles. As a consequence, iPod, the
first digital music player that people loved,
was a huge business success from the day it
debuted.
During the period 2005-2011 the big
Apple was finally built. In 2011, Jobs resigned as CEO of Apple and died on October
5 at home, surrounded by his family.
3. steve Jobs, a leader in modern times
For many management experts and
researchers, Jobs is supposed “to have had
the insight into the future of personal computers, a vision of genius” and represents “a
perfect example of the Sillicon Valley entrepreneur: individualistic, quirky, obsessed by
a product design that combines functional
performance and a pleasing aesthetic” which
“implemented an aggressive and demanding
style of management” (Godelier, 2007, p. 5).
He truly knew what he wanted and succeeded in transforming his dreams into realities.
His life philosophy was the philosophy of a
winner who:
• promoted the Apple II, making Apple
the first computer giant and the world’s most
valuable company.
• designed the first windows platform
with the Mac.
• created the mouse and made it
popular.
• funded Pixar which became the largest animator in history.
• beat cancer for a long period of time.
• in spite of a long list of failures, was
back on top.
• created many blockbuster movies in
a row, etc.
A genius and a visionary, Jobs was a
complex leader. His distinctive personality
represented a key factor in explaining the
way he led Apple. Some of his main personal
traits are worth to be emphasised such as:
• passionate,
• flexible,
• impulsive,
• overly critical,
• obsessive perfectionist,
• highly intuitive,
• charismatic,
• egotist,
• free-spirit innovator,
• open-minded,
• persuasive,
• inspiring, etc.
A company like Apple has to sustain excellence “not only through its processes”, but
also “in its leadership, namely, in its CEO”
(Moore and Knickle, 2012, p. 67). Jobs built a
strong and successful corporate culture that
facilitated Apple employees to “know one
when they see one”.
The DNA of Apple was the DNA of
Jobs. The company was “profoundly influenced by its founder and still bears today the
characteristics associated with an organization that favours the type of logic and modes
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of justification that come from the logic of
inspiration” (Boivin and Roch, 2006, p. 415).
Jobs had always inspired his people and customers with his stories: “business world will
always remember Steve Jobs as one-of-a-kind
storyteller” (Kuran, 2013, p. 121). Apple’s
greatness has been built on its inspirational
logic that pushed the company to continuously seeking for perfectionism.
Jobs belongs in the pantheon of
America’s great modern leaders. This statement is based on several fundamental elements as follows (Isaacson, 2012; Isaacson,
2011; Davenport, 2011):
• His personality was integral to his
way of doing business.
• In spite of his tendency to be rough on
people, Jobs was surrounded by an intensely
loyal cadre of colleagues who had been inspired by him for along period of time.
• As a perfectionist, he never gave up
and steadfastly pursued his dreams.
• Jobs made Apple an enduring company through the implementation of a
creative strategy at Apple, based on entrepreneurship, leadership, organization and
innovation.
• Focus was ingrained in his business
philosophy and had been honed by his Zen
training: “Deciding what not to do is as important as deciding what to do”.
• Jobs promoted simplicity in order to
achieve the ultimate sophistication.
• He always took responsibility end to
end.
• Jobs had always put products before
profits.
• He possessed the famous ability to
push Apple people to do the impossible.
• Jobs was a strong believer in face-toface meetings with people.
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• He provided intellectual challenges
and stimulation to the Apple people.
• Jobs had the ability to create small
teams of top talents and to express ideas to
the team for their realization.
In short, Jobs proved to be a highly successful leader in an intensely competitive industry. He constitutes the valuable example
of a transformational leader able to inspire
his people to do great things they had never
done before.
Conclusions
Leadership represents one of the most
observed and debated phenomena on earth
in the last decades. As a multidimensional
concept, leadership is essential in every aspect of today’s organizations.
The S. Jobs example illustrates how a
transformational leader as him can be a key
factor in successfully turning round the fortunes of a company. The dominant logic of
Apple was strongly determined by its founder. Jobs offered a vision of the future that
was both inspiring and attractive for Apple
people. Unlike many leaders who appear to
succeed only once, he constantly repeated his
success.
Our paper facilitates a better understanding of Jobs’ contribution to modern
leadership and provides a platform on which
to build further studies on the same subject.
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